Quantchabot has detected a new Bear Call Spread trade opportunity for BRUNSWICK (BC) for the 17-Jan-2025 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
BC was recently trading at $67.51 and has an implied volatility of 34.13% for this period. Based on an analysis of the options available for BC expiring on 17-Jan-2025, there is a 34.23% likelihood that the underlying will close within the analyzed range of $61.57-$67.75 at expiration. In this scenario, the average linear return for the trade would be 59.92%.
52 week low: BRUNSWICK recently reached a new 52-week low at $66.47. BC had traded in the range $67.94-$99.67 over the past year.
Trade approach: Reaching a new 52-week low is a bearish indicator, so this trade is designed to be profitable if BC maintains its current direction and does not revert back to pricing on the bullish side of $67.51 on 17-Jan-2025. If possible, the trade has been padded such that slight movement against the trade would still return a profit.
Upside potential: Using this bearish strategy, the trade would be profitable if BRUNSWICK closes at or below $68.20 on 17-Jan-2025. Based on our risk-neutral analysis, there is a 52.78% likelihood of this return.
Downside risk: As with any options trade, there is a substantial downside risk where you may lose most or all of your investment.
To analyze this trade in depth, please visit the Quantcha Options Search Engine.
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